SCHD: My 'Mid-Year' Update On Schwab's $111 Billion Flagship Dividend ETF

The Sunday Investor 7.43K Followers Follow Summary Schwab US Dividend Equity ETF is upgraded to 'buy' based on improved fundamentals. This article examines its dividend, growth, value, and quality features against a peer group of 7. I firmly believe SCHD is the best US large-cap value play for investors requiring a 3%+ yield. My estimates place its yield at 3.27%, and its quality features remain excellent. For those willing to accept a small yield sacrifice, I'll highlight two others that deserve consideration. The full peer group today includes FDL, HDV, DVY, CDL, DIVB, FDVV, and VSDA. EPS growth is a prominent theme throughout this article, and fortunately for SCHD investors, next-year growth rates are solid, which I expect will support more dividend growth and capital appreciation. GamePH/iStock via Getty Images Investment Thesis It's been six months since the Index tracked by the Schwab US Dividend Equity ETF ( SCHD ) reconstituted, which I covered at the time, so I think it's time for a proper "mid-year" review. To recap, SCHD This article was written by The Sunday Investor 7.43K Followers Follow The Sunday Investor is focused exclusively on U.S. Equity ETFs. He has a strong analytical background, has received a Certificate of Advanced Investment Advice from the Canadian Securities Institute, and has completed all the educational requirements for the Chartered Investment Manager designation.Having covered hundreds of ETFs on Seeking Alpha, The Sunday Investor has developed a complex, proprietary ETF Rankings system which he shares on his website, etf-rankings.com. Nearly 1,000 ETFs receive individual factor scores covering costs, liquidity, risk, size, value, dividends, growth, quality, momentum, and sentiment, which feed into an easy-to-understand composite score from 1-10. The Sunday Investor is always active in the comments section in his articles - please don't hesitate to reach out via comment in any article or by visiting etf-rankings.com. Happy Investing! Analyst’s Disclosure: I/we have a beneficial long position in the shares of SCHD, IVV, FDVV, VIG either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.